Farina Bay s computer system generated the following trial balance on December 31, 2013.

| June 1, 2016

Question
Farina Bay s computer system generated the following trial balance on December 31, 2013. The company s manager knows something is wrong with the trial balance because it does not show any balance for Goods in Process Inventory but does show balances for the Factory Payroll and Factory Overhead accounts.

Debit Credit
Cash $ 45,000
Accounts receivable 39,000
Raw materials inventory 24,500
Goods in process inventory 0
Finished goods inventory 9,000
Prepaid rent 3,000
Accounts payable $ 11,100
Notes payable 14,100
Common stock 30,000
Retained earnings 93,000
Sales 162,300
Cost of goods sold 106,000
Factory payroll 18,000
Factory overhead 28,000
Operating expenses 38,000
Totals $ 310,500 $ 310,500
After examining various files, the manager identifies the following six source documents that need to be processed to bring the accounting records up to date.

Materials requisition 21-3010: $ 4,300 direct materials to Job 402
Materials requisition 21-3011: $ 7,600 direct materials to Job 404
Materials requisition 21-3012: $ 1,700 indirect materials
Labor time ticket 6052: $ 3,000 direct labor to Job 402
Labor time ticket 6053: $ 12,000 direct labor to Job 404
Labor time ticket 6054: $ 3,000 indirect labor
Jobs 402 and 404 are the only units in process at year-end. The predetermined overhead rate is 200% of direct labor cost.

8.value:
1.50 points
a. Direct materials costs to Goods in Process Inventory.
b. Direct labor costs to Goods in Process Inventory.
c. Overhead costs to Goods in Process Inventory.
d. Indirect materials costs to the Factory Overhead account.
e. Indirect labor costs to the Factory Overhead account.
Required:
1.
Prepare journal entries to assign the above costs.

Record direct materials costs for Jobs 402 and 404.
2.Record direct labor costs for Jobs 402 and 404.
3.Record the entry to allocate overheads to Jobs 402 and 404 at 200% of direct labor costs assigned.
4.Record entry to assign cost of indirect materials.
5.Record entry to assign cost of indirect labor

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